Homes Under $500K in Austin: Where to Actually Look

Homes under $500K are getting hard to find inside Austin city limits, but the budget still works in the right surrounding areas. I'm Robbie English, Broker, REALTOR with Uncommon Realty, and I help buyers find real options in this price range without wasting time on listings that don't actually fit. Here's where to look.

TLDR: Homes Under $500K In Austin And Surrounding Areas

1. Homes under $500K are available but require fast, informed decisions
2. Location flexibility opens more opportunities and better value
3. The right agent helps you avoid overpaying or missing out
4. My app gives you real-time MLS access and better search control
5. Strategy and preparation matter more than ever in this price range

Where $500K Actually Buys a Home Right Now

Inside Austin proper, sub-$500K single-family homes are mostly limited to far East Austin, parts of Southeast Austin, and older homes that need work. If you want a newer home with more room in that budget, the surrounding suburbs are where the real inventory is.

Hutto, northeast of Austin, mixes newer construction with resale homes from the 2000s and 2010s, with direct access to Toll 130 and US-79 for the commute back into Austin.

Pflugerville offers a similar mix just south of Hutto, with a shorter drive into North Austin and more resale inventory from established neighborhoods.

Round Rock has pockets under $500K, mostly older resale neighborhoods rather than new construction, since its newer master-planned sections tend to price above that mark.

Georgetown is similar: resale homes in established areas can still land under $500K, while new construction, especially in age-restricted or golf communities, usually runs higher.

South of Austin, Buda has grown fast over the last decade and still offers a meaningful supply of homes under $500K, particularly resale homes and townhomes, though new-construction pricing has been creeping up.

None of this is fixed. Pricing shifts with rates, inventory, and the season, so the real answer for your specific budget and timeline is worth a direct conversation rather than a general list like this one.

Frequently Asked Questions

Can you still buy a house under $500K in Austin itself?

Yes, but the selection is limited mostly to far East and Southeast Austin, condos and townhomes, or older homes that may need updating. New construction under $500K inside city limits is rare.

Which suburb has the most new construction under $500K?

Hutto and Pflugerville currently have the most active mix of newer construction and resale under $500K, both with a direct commute back into Austin.

Is it better to buy resale or new construction at this price point?

It depends on your priorities. New construction usually means lower maintenance and a builder warranty, but resale homes in Round Rock, Georgetown, and Buda often come with larger lots and established landscaping for a similar price.